第15章
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  Itthusliesintheverynatureofthings,thatthenumberof

  theadvocatesoftheprotectivesystemmustagainincrease,and

  thoseoffreetradeagaindiminish。Hitherto,thepricesof

  agriculturalproducehavebeenmaintainedatanunusuallyhigh

  level,owingtothepreviousprosperityofthemanufactories,

  throughthecarryingoutofgreatpublicundertakings,throughthe

  demandfornecessariesoflifearisingfromthegreatincreaseof

  theproductionofcotton,alsopartiallythroughbadharvests。One

  may,however,foreseewithcertainty,thatthesepricesinthe

  courseofthenextfewyearswillfallasmuchbelowtheaverageas

  theyhavehithertorangedaboveit。Thegreaterpartofthe

  increaseofAmericancapitalhassincethepassingofthe

  CompromiseBillbeendevotedtoagriculture,andisonlynow

  beginningtobecomeproductive。Whilethusagriculturalproduction

  hasunusuallyincreased,ontheotherhandthedemandforitmust

  unusuallydiminish。Firstly,becausepublicworksarenomorebeing

  undertakentothesameextent;secondly,becausethemanufacturing

  populationinconsequenceofforeigncompetitioncannomore

  increasetoanimportantextent;andthirdly,becausethe

  productionofcottonsogreatlyexceedstheconsumptionthatthe

  cottonplanterswillbecompelled,owingtothelowpricesof

  cotton,toproduceforthemselvesthosenecessariesoflifewhich

  theyhavehithertoprocuredfromtheMiddleandWesternStates。If

  inadditionrichharvestsoccur,thentheMiddleandWesternStates

  willagainsufferfromanexcessofproduce,astheydidbeforethe

  tariffof1828。Butthesamecausesmustagainproducethesame

  results;viz。theagriculturistsoftheMiddleandWesternStates

  mustagainarriveattheconviction,thatthedemandfor

  agriculturalproducecanonlybeincreasedbytheincreaseofthe

  manufacturingpopulationofthecountry,andthatthatincreasecan

  onlybebroughtaboutbyanextensionoftheprotectivesystem。

  Whileinthismannerthepartisansofprotectionwilldaily

  increaseinnumberandinfluence,theoppositepartywilldiminish

  inlikeproportionuntilthecottonplantersundersuchaltered

  circumstancesmustnecessarilycometotheconvictionthatthe

  increaseofthemanufacturingpopulationofthecountryandthe

  increaseofthedemandforagriculturalproduceandrawmaterials

  bothconsistwiththeirowninterestsifrightlyunderstood。

  Because,aswehaveshown,thecottonplantersandthe

  DemocratsinNorthAmericawerestrivingmostearnestlyoftheir

  ownaccordtoplayintothehandsofthecommercialinterestsof

  England,noopportunitywasofferedatthemomentonthissidefor

  MrPoulettThompsontodisplayhisskillincommercialdiplomacy。

  MatterswerequiteinanotherpositioninFrance。Therepeople

  stillsteadilyclungtotheprohibitivesystem。Therewereindeed

  manyStateofficialswhoweredisciplesoftheory,andalso

  deputieswhowereinfavourofanextensionofcommercialrelations

  betweenEnglandandFrance,andtheexistingalliancewithEngland

  hadalsorenderedthisviewtoacertainextentpopular。Buthowto

  attainthatobject,opinionswerelessagreed,andinnorespect

  weretheyquiteclear。Itseemedevidentandalsoindisputablethat

  thehighdutiesontheforeignnecessariesoflifeandraw

  materials,andtheexclusionofEnglishcoalandpig-iron,operated

  verydisadvantageouslytoFrenchindustry,andthatanincreasein

  theexportsofwines,brandy,andsilkfabricswouldbeextremely

  advantageoustoFrance。

  Ingeneral,peopleconfinedthemselvestouniversaldeclamation

  againstthedisadvantagesoftheprohibitivesystem。Buttoattack

  thisinspecialcasesdidnotappearatthetimetobeatall

  advisable。FortheGovernmentofJulyhadtheirstrongest

  supportersamongtherichbourgeoisie,whoforthemostpartwere

  interestedinthegreatmanufacturingundertakings。

  UnderthesecircumstancesMrPoulettThompsonformedaplanof

  operationswhichdoesallhonourtohisbreadthofthoughtand

  diplomaticadroitness。HesenttoFranceamanthoroughlyversedin

  commerceandindustryandinthecommercialpolicyofFrance,well

  knownforhis\'liberalsentiments\'alearnedmanandavery

  accomplishedwriter,DrBowring,whotravelledthroughthewholeof

  France,andsubsequentlythroughSwitzerlandalso,togatheronthe

  spotmaterialsforargumentsagainsttheprohibitivesystemandin

  favouroffreetrade。DrBowringaccomplishedthistaskwithhis

  accustomedabilityandadroitness。Especiallyheclearlyindicated

  thebefore-mentionedadvantagesofafreercommercialintercourse

  betweenthetwocountriesinrespectofcoal,pig-iron,wines,and

  brandies。Inthereportwhichhepublished,hechieflyconfinedhis

  argumentstothesearticles;inreferencetotheotherbranchesof

  industryheonlygavestatistics,withoutcommittinghimselfto

  proofsorpropositionshowthesecouldbepromotedbymeansoffree

  tradewithEngland。

  DrBowringactedinpreciseaccordancewiththeinstructions

  giventohimbyMrPoulettThompson,whichwereframedwith

  uncommonartandsubtlety,andwhichappearattheheadofhis

  report。IntheseMrThompsonmakesuseofthemostliberal

  expressions。Heexpresseshimself,withmuchconsiderationforthe

  Frenchmanufacturinginterests,ontheimprobabilitythatany

  importantresultwastobeexpectedfromthecontemplated

  negotiationswithFrance。Thisinstructionwasperfectlyadapted

  forcalmingtheapprehensionsrespectingtheviewsofEngland

  entertainedbytheFrenchwoollenandcottonmanufacturing

  interestswhichhadbecomesopowerful。AccordingtoMrThompson,

  itwouldbefollytoaskforimportantconcessionsrespecting

  these。

  Ontheotherhand,hegivesahinthowtheobjectmightmore

  easilybeattainedinrespectof\'lessimportantarticles。\'These

  lessimportantarticlesarecertainlynotenumeratedinthe

  instruction,butthesubsequentexperienceofFrancehascompletely

  broughttolightwhatMrThompsonmeantbyit,foratthetimeof

  thewritingofthisinstructiontheexportsoflinenyarnandlinen

  fabricsofEnglandtoFrancewereincludedintheterm\'less

  important。\'

  TheFrenchGovernment,movedbytherepresentationsand

  explanationsoftheEnglishGovernmentanditsagents,andwiththe

  intentionofmakingtoEnglandacomparativelyunimportant

  concession,whichwouldultimatelyproveadvantageoustoFrance

  herself,loweredthedutyonlinenyarnandlinenfabricstosuch

  anextentthattheynolongergaveanyprotectiontoFrench

  industryinfaceofthegreatimprovementswhichtheEnglishhad

  madeinthesebranchesofmanufacture,sothateveninthenextfew

  yearstheexportofthesearticlesfromEnglandtoFranceincreased

  enormously1838,32,000,000francs;andthatFrancestoodin

  danger,owingtothestartwhichEnglandhadthusobtained,of

  losingitsentirelinenindustry,amountingtomanyhundred

  millionsinvalue,whichwasofthegreatestimportanceforher

  agricultureandforthewelfareofherentireruralpopulation,

  unlessmeanscouldbefoundtoputacheckontheEnglish

  competitionbyincreasingtheduties。

  ThatFrancewasdupedbyMrPoulettThompsonwasclearenough。

  Hehadalreadyclearlyseenintheyear1834whatanimpulsethe

  linenmanufactureofEnglandwouldreceiveinthenextfewyearsin

  consequenceofthenewinventionswhichhadbeenmadethere,andin

  thisnegotiationhehadcalculatedontheignoranceoftheFrench

  Governmentrespectingtheseinventionsandtheirnecessary

  consequences。Theadvocatesofthisloweringofdutiesnowindeed

  endeavouredtomaketheworldbelievethatbyittheyonlydesired

  tomakeaconcessiontothebelgianlinenmanufactures。Butdid

  thatmakeamendsfortheirlackofacquaintancewiththeadvances

  madebytheEnglish,andtheirlackofforesightastothe

  necessaryconsequences?

  Bethatasitmay,thismuchisclearlydemonstrated,thatit

  wasnecessaryforFrancetoprotectherselfstillmore,under

  penaltyoflosingthegreaterpartofherlinenmanufacturingfor

  thebenefitofEngland;andthatthefirstandmostrecent

  experimentoftheincreaseoffreedomoftradebetweenEnglandand

  FranceremainsasanindeliblememorialofEnglishcraftandof

  Frenchinexperience,asanewMethuenTreaty,asasecondEden

  Treaty。ButwhatdidMrPoulettThompsondowhenheperceivedthe

  complaintsoftheFrenchlinenmanufacturersandtheinclinationof

  theFrenchGovernmenttorepairthemistakewhichhadbeenmade?He

  didwhatMrHuskissonhaddonebeforehim,heindulgedinthreats,

  hethreatenedtoexcludeFrenchwinesandsilkfabrics。Thisis

  Englishcosmopolitanism。Francemustgiveupamanufacturing

  industryofathousandyears\'standing,boundupintheclosest

  mannerwiththeentireeconomyofherlowerclassesandespecially

  withheragriculture,theproductsofwhichmustbereckonedas

  chiefnecessariesoflifeforallclasses,andoftheentireamount

  ofbetweenthreeandfourhundredmillions,inordertherebyto

  purchasetheprivilegeofexportingtoEnglandsomefewmillions

  moreinvalueofwinesandsilkmanufactures。Quiteapartfromthis

  disproportioninvalue,itmustbeconsideredinwhataposition

  Francewouldbeplacedifthecommercialrelationsbetweenboth

  nationsbecameinterruptedinconsequenceofawar;incaseviz。

  thatFrancecouldnomoreexporttoEnglandhersurplusproductsof

  silkmanufacturesandwines,butatthesametimesufferedfromthe

  wantofsuchanimportantnecessaryoflifeaslinen。

  Ifanyonereflectsonthishewillseethatthelinenquestion

  isnotsimplyaquestionofeconomicalwell-being,but,as

  everythingiswhichconcernsthenationalmanufacturingpower,is

  stillmoreaquestionoftheindependenceandpowerofthenation。

  Itseemsindeedasifthespiritofinventionhadsetitself

  thetask,inthisperfectingofthelinenmanufacture,tomakethe

  nationscomprehendthenatureofthemanufacturinginterest,its

  relationswithagriculture,anditsinfluenceontheindependence

  andpoweroftheState,andtoexposetheerroneousargumentsof

  thepopulartheory。Theschoolmaintains,asiswellknown,that

  everynationpossessesspecialadvantagesinvariousbranchesof

  production,whichshehaseitherderivedfromnature,orwhichshe

  haspartlyacquiredinthecourseofhercareer,andwhichunder

  freetradecompensateoneanother。Wehaveinapreviouschapter

  adducedproofthatthisargumentisonlytrueinreferenceto

  agriculture,inwhichproductiondependsforthemostparton

  climateandonthefertilityofthesoil,butthatitisnottrue

  inrespecttomanufacturingindustry,forwhichallnations

  inhabitingtemperateclimateshaveequalcapabilityprovidedthat

  theypossessthenecessarymaterial,mental,social,andpolitical

  qualifications。Englandatthepresentdayoffersthemoststriking

  proofofthis。Ifanynationswhateverarespeciallyadaptedby

  theirpastexperienceandexertions,andthroughtheirnatural

  qualifications,forthemanufactureoflinen,thosearethe

  Germans,thebelgians,theDutch,andtheinhabitantsoftheNorth

  ofFranceforathousandyearspast。TheEnglish,ontheother

  hand,uptothemiddleofthelastcentury,hadnotoriouslymade

  suchsmallprogressinthatindustry,thattheyimportedagreat

  proportionofthelinenwhichtheyrequired,fromabroad。Itwould

  neverhavebeenpossibleforthem,withoutthedutiesbywhichthey

  continuouslyprotectedthismanufacturingindustry,eventosupply

  theirownmarketsandcolonieswithlinenoftheirownmanufacture。

  AnditiswellknownhowLordsCastlereaghandLiverpooladduced

  proofinParliament,thatwithoutprotectionitwasimpossiblefor

  theIrishlinenmanufacturestosustaincompetitionwiththoseof

  Germany。Atpresent,however,weseehowtheEnglishthreatento

  monopolisethelinenmanufactureofthewholeofEurope,in

  consequenceoftheirinventions,notwithstandingthattheywerefor

  ahundredyearstheworstmanufacturersoflineninallEurope,

  justastheyhavemonopolisedforthelastfiftyyearsthecotton

  marketsoftheEastIndies,notwithstandingthatonehundredyears

  previouslytheycouldnotevencompeteintheirownmarketwiththe

  Indiancottonmanufacturers。Atthismomentitisamatterof

  disputeinFrancehowithappensthatEnglandhaslatelymadesuch

  immenseprogressinthemanufactureoflinen,althoughNapoleonwas

  thefirstwhoofferedsuchagreatrewardfortheinventionofa

  machineforspinningcotton,andthattheFrenchmachinistsand

  manufacturershadbeenengagedinthistradebeforetheEnglish。

  TheinquiryismadewhethertheEnglishortheFrenchpossessed

  moremechanicaltalent。Allkindsofexplanationsareoffered

  exceptthetrueandthenaturalone。Itisabsurdtoattribute

  speciallytotheEnglishgreatermechanicaltalent,orgreater

  skillandperseveranceinindustry,thantotheGermansortothe

  French。BeforethetimeofEdwardIIItheEnglishwerethegreatest

  bulliesandgood-for-nothingcharactersinEurope;certainlyit

  neveroccurredtothemtocomparethemselveswiththeItaliansand

  BelgiansorwiththeGermansinrespecttomechanicaltalentor

  industrialskill;butsincethentheirGovernmenthastakentheir

  educationinhand,andthustheyhavebydegreesmadesuchprogress

  thattheycandisputethepalmofindustrialskillwiththeir

  instructors。IftheEnglishinthelasttwentyyearshavemademore

  rapidprogressinmachineryforlinenmanufacturethanother

  nations,andespeciallytheFrench,havedone,thishasonly

  occurredbecause,firstly,theyhadattainedgreatereminencein

  mechanicalskill;secondly,thattheywerefurtheradvancedin

  machineryforspinningandweavingcotton,whichissosimilarto

  thatforspinningandweavinglinen;thirdly,thatinconsequence

  oftheirpreviouscommercialpolicy,theyhadbecomepossessedof

  morecapitalthantheFrench;fourthly,thatinconsequenceofthat

  commercialpolicytheirhomemarketforlinengoodswasfarmore

  extensivethanthatoftheFrench;andlastlythattheirprotective

  duties,combinedwiththecircumstancesabovenamed,affordedto

  themechanicaltalentofthenationgreaterstimulusandmoremeans

  todevoteitselftoperfectingthisbranchofindustry。

  TheEnglishhavethusgivenastrikingconfirmationofthe

  opinionswhichweinanotherplacehavepropoundedandexplained——

  thatallindividualbranchesofindustryhavetheclosest

  reciprocaleffectononeanother;thattheperfectingofonebranch

  preparesandpromotestheperfectingofallothers;thatnooneof

  themcanbeneglectedwithouttheeffectsofthatneglectbeing

  feltbyall;that,inshort,thewholemanufacturingpowerofa

  nationconstitutesaninseparablewhole。Oftheseopinionsthey

  havebytheirlatestachievementsinthelinenindustryoffereda

  strikingconfirmation。

  NOTES:

  1。EvenapartoftheproductionofwoolinEnglandisduetothe

  observanceofthismaxim。EdwardIVimportedunderspecial

  privileges3,000headofsheepfromSpainwheretheexportof

  sheepwasprohibited,anddistributedthemamongvariousparishes,

  withacommandthatforsevenyearsnoneweretobeslaughteredor

  castrated。EssaisurleCommerced\'Angleterre,tomei。p。379。As

  soonastheobjectofthesemeasureshadbeenattained,England

  rewardedtheSpanishGovernmentforthespecialprivilegesgranted

  bythelatter,byprohibitingtheimportofSpanishwool。The

  efficacyofthisprohibitionhoweverunjustitmaybedeemedcan

  aslittlebedeniedasthatoftheprohibitionsoftheimportof

  woolbyCharlesII1672and1674。

  2。France,saidPitt,hasadvantagesaboveEnglandinrespectof

  climateandothernaturalgifts,andthereforeexcelsEnglandin

  itsrawproduce;ontheotherhand,Englandhastheadvantageover

  Franceinitsartificialproducts。Thewines,brandies,oils,and

  vinegarsofFrance,especiallythefirsttwo,articlesofsuch

  importanceandofsuchvalue,thatthevalueofournatural

  productscannotbeintheleastcomparedwiththem。But,onthe

  otherhand,itisequallycertainthatEnglandistheexclusive

  producerofsomekindsofmanufacturedgoods,andthatinrespect

  ofotherkindsshepossessessuchadvantagesthatshecandefy

  withoutdoubtallthecompetitionofFrance。Thisisareciprocal

  conditionandabasisonwhichanadvantageouscommercialtreaty

  betweenbothnationsshouldbefounded。Aseachofthemhasits

  peculiarstaplecommodities,andeachpossessesthatwhichis

  lackingtotheother,sobothshoulddealwithoneanotherliketwo

  greatmerchantswhoareengagedindifferentbranchesoftrade,and

  byareciprocalexchangeoftheirgoodscanatoncebecomeuseful

  tooneanother。Letusfurtheronlycalltomindonthispointthe

  wealthofthecountywithwhichwestandinthepositionof

  neighbours,itsgreatpopulation,itsvicinitytous,andthe

  consequentquickandregularexchange。Whocouldthenhesitatea

  momenttogivehisapprovaltothesystemoffreedom,andwhowould

  notearnestlyandimpatientlywishfortheutmostpossible

  expeditioninestablishingit?Thepossessionofsuchanextensive

  andcertainmarketmustgivequiteanextraordinaryimpulsetoour

  trade,andthecustomsrevenuewhichwouldthenbedivertedfrom

  thehandsofthesmugglerintotheStaterevenuewouldbenefitour

  finances,andthustwomainspringsofBritishwealthandof

  Britishpowerwouldbemademoreproductive。

  3。SinceListwrotetheselines,thedutieswhichforeignsilk

  manufacturershadtopayontheimportoftheirgoodsintoEngland

  havebeentotallyabolished。Theresultsoftheirabolitionmaybe

  learnedfromMrWardle\'sreportontheEnglishsilktrade,as

  follows:London,in1825,contained24,000loomsand60,000

  operativesengagedinsilkmanufacture。Atthepresenttimethese

  havedwindledto1,200loomsandlessthen4,000operatives。In

  Coventry,in1861,theribbontradeisstatedtohavegiven

  subsistenceto40,600persons;whileatthepresenttimeprobably

  notmorethan10,000personsaresupportedbyit,andthe

  power-loomsatworkinCoventryhavedecreasedfrom1,800to600。

  InDerbythenumberofoperativesemployedinsilkmanufacturehas

  decreasedfrom6,650in1850to2,400atpresent。Inthe

  Congletondistricttheyhavedecreasedfrom5,186in1860to

  1,530in1884;whileofthefortysilk-throwsters\'workswhich

  thatdistrictcontainedin1859onlytwelvenowremain,with

  \'aboutthree-fourthsoftheirmachineryemployed。\'InManchester

  thistradehaspracticallydiedout,whileatMiddletonthe

  industryis\'simplyruined。\'TheseresultsstatedbyMrWardle

  mayaccountforthedecreaseinEngland\'simportsofrawsilk,from

  8,000,000poundsin1871tolessthan3,000,000pounds。

  Ontheotherhand,sinceListwrote,theUnitedStatesof

  Americahaveincreasedandsteadilymaintainedaconsiderable

  protectivedutyontheimportationofforeignsilkmanufactures。

  TheresultsofthatpolicywerepubliclystatedbyMrRobertP。

  PortermemberoftheUnitedStates\'TariffCommission,ina

  speechin1883,tohavebeenasfollows:

  Fivethousandpersonswereemployedinsilkmanufactureinthe

  UnitedStatesbeforetheMorilltariff1861。In1880theirnumber

  hadincreasedto30,000。Thevalueofsilkmanufacturesproducedin

  theStatesincreasedfrom1,200,000l。in1860tomorethan

  8,000,000l。in1880。\'Yetthecostofthemanufacturedgoodsto

  theconsumer,estimatedonagoldbasis,hassteadilydeclinedat

  amuchgreaterratethanthecostoftherawmaterial。\'After

  referencetotheearthenwareandplate-glassmanufactures,Mr

  Porteradds:\'ThetestimonybeforetheTariffCommissionshowed

  unquestionablythatthecompetitionintheUnitedStateshad

  resultedinareductioninthecosttotheAmericanconsumer。In

  thisway,gentlemen,Icontend,andampreparedtoprove

  statistically。thatprotection,sofarastheUnitedStatesare

  concerned,hasineverycaseultimatelybenefitedtheconsumer;and

  onthisgroundIdefenditandbelieveinit。\'——TRANSLATOR。

  4。Chaptal,Del\'IndustrieFran鏰isevol。ii。,p。147。

  Chapter34

  TheInsularSupremacyandtheGermanCommercialUnion

  Whatagreatnationisatthepresentdaywithoutavigorous

  commercialpolicy,andwhatshemaybecomebytheadoptionofa

  vigorouscommercialpolicy,Germanyhaslearntforherselfduring

  thelasttwentyyears。GermanywasthatwhichFranklinoncesaidof

  theStateofNewJersey,\'acaskwhichwastappedanddrainedby

  itsneighboursoneveryside。\'England,notcontentedwithhaving

  ruinedfortheGermansthegreaterpartoftheirownmanufactories

  andsuppliedthemwithenormousquantitiesofcottonandwoollen

  fabrics,excludedfromherportsGermangrainandtimber,nayfrom

  timetotimealsoevenGermanwool。Therewasatimewhenthe

  exportofmanufacturedgoodsfromEnglandtoGermanywastentimes

  greaterthanthattoherhighlyextolledEastIndianEmpire。

  Neverthelesstheall-monopolisingislanderswouldnotevengrantto

  thepoorGermanswhattheyconcededtotheconqueredHindoos,viz。

  topayforthemanufacturedgoodswhichtheyrequiredby

  agriculturalproduce。InvaindidtheGermanshumblethemselvesto

  thepositionofhewersofwoodanddrawersofwaterforthe

  Britons。Thelattertreatedthemworsethanasubjectpeople。

  Nations,likeindividuals,iftheyatfirstonlypermitthemselves

  tobeill-treatedbyone,soonbecomescornedbyall,andfinally

  becomeanobjectofderisiontotheverychildren。France,not

  contentedwithexportingtoGermanyenormousquantitiesofwine,

  oil,silk,andmillinery,grudgedtheGermanstheirexportsof

  cattle,grain,andflax;yes,evenasmallmaritimeprovince

  formerlypossessedbyGermanyandinhabitedbyGermans,which

  havingbecomewealthyandpowerfulbymeansofGermany,atall

  timeswasonlyabletomaintainitselfwithandbymeansof

  Germany,barredforhalfagenerationGermany\'sgreatestriverby

  meansofcontemptibleverbalquibbles。Tofillupthemeasureof

  thiscontempt,thedoctrinewastaughtfromahundredprofessorial

  chairs,thatnationscouldonlyattaintowealthandpowerbymeans

  ofuniversalfreetrade。Thusitwas;buthowisitnow?Germany

  hasadvancedinprosperityandindustry,innationalself-respect

  andinnationalpower,inthecourseoftenyearsasmuchasina

  century。Andhowhasthisresultbeenachieved?Itwascertainly

  goodandbeneficialthattheinternaltariffswereabolishedwhich

  separatedGermansfromGermans;butthenationwouldhavederived

  smallcomfortfromthatifherhomeindustryhadthenceforth

  remainedfreelyexposedtoforeigncompetition。Itwasespecially

  theprotectionwhichthetariffoftheZollvereinsecuredto

  manufacturedarticlesofcommonuse,whichhaswroughtthis

  miracle。Letusfreelyconfessit,forDrBowring1*has

  incontrovertiblyshownit,thattheZollvereintariffhasnot,as

  wasbeforeasserted,imposedmerelydutiesforrevenue——thatit

  hasnotconfineditselftodutiesoftentofifteenpercentas

  Huskissonbelieved——letusfreelyadmitthatithasimposed

  protectivedutiesoffromtwentytosixtypercentasrespectsthe

  manufacturedarticlesofcommonuse。

  Butwhathasbeentheoperationoftheseprotectiveduties?Are

  theconsumerspayingfortheirGermanmanufacturedgoodstwentyto

  sixtypercentmorethantheyformerlypaidforforeignonesas

  mustbethecaseifthepopulartheoryiscorrect,orarethese

  goodsatallworsethantheforeignones?Nothingofthesort。Dr

  Bowringhimselfadducestestimonythatthemanufacturedgoods

  producedunderthehighcustomstariffarebothbetterandcheaper

  thantheforeignones。2*Theinternalcompetitionandthe

  securityfromdestructivecompetitionbytheforeignerhaswrought

  thismiracle,ofwhichthepopularschoolknowsnothingandis

  determinedtoknownothing。Thus,thatisnottrue,whichthe

  popularschoolmaintains,thataprotectivedutyincreasesthe

  priceofthegoodsofhomeproductionbytheamountofthe

  protectiveduty。Forashorttimethedutymayincreasetheprice,

  butineverynationwhichisqualifiedtocarryonmanufacturing

  industrytheconsequenceoftheprotectionwillbe,thatthe

  internalcompetitionwillsoonreducethepriceslowerthanthey

  hadstoodatwhentheimportationwasfree。

  Buthasagricultureatallsufferedunderthesehighduties?

  Notintheleast;ithasgained-gainedtenfoldduringthelastten

  years。Thedemandforagriculturalproducehasincreased。The

  pricesofiteverywherearehigher。Itisnotoriousthatsolelyin

  consequenceofthegrowthofthehomemanufactoriesthevalueof

  landhaseverywhererisenfromfiftytoahundredpercent,that

  everywherehigherwagesarebeingpaid,andthatinalldirections

  improvementsinthemeansoftransportareeitherbeingeffectedor

  projected。

  Suchbrilliantresultsasthesemustnecessarilyencourageus

  toproceedfartheronthesystemwhichwehavecommencedtofollow。

  OtherStatesoftheUnionhavealsoproposedtotakesimilarsteps,

  buthavenotyetcarriedthemintoeffect;while,asitwould

  appear,someotherStatesoftheUniononlyexpecttoattain

  prosperitysolelybytheabolitionoftheEnglishdutiesongrain

  andtimber,andwhileasitisallegedtherearestilltobe

  foundinfluentialmenwhobelieveinthecosmopoliticalsystemand

  distrusttheirownexperience。DrBowring\'sreportgivesusmost

  importantexplanationsonthesepointsaswellasonthe

  circumstancesoftheGermanCommercialUnionandthetacticsofthe

  EnglishGovernment。Letusendeavourtothrowalittlelighton

  thisreport。

  Firstofall,wehavetoconsiderthepointofviewfromwhich

  itwaswritten。MrLabouchere,PresidentoftheboardofTrade

  undertheMelbourneMinistry,hadsentDrBowringtoGermanyfor

  thesamepurposeasthatforwhichMrPoulettThompsonhadsenthim

  toFranceintheyear1834。Justasitwasintendedtomisleadthe

  Frenchbyconcessionsinrespectofwinesandbrandiestoopen

  theirhomemarkettoEnglishmanufacturedgoods,soitwasintended

  tomisleadtheGermanstodothesamebyconcessionsinrespectof

  grainandtimber;onlytherewasagreatdifferencebetweenthetwo

  missionsinthisrespect,thattheconcessionwhichwastobe

  offeredtotheFrenchhadtofearnooppositioninEngland,while

  thatwhichhadtobeofferedtotheGermanshadfirsttobefought

  forinEnglandherself。

  Hencethetendencyofthesetworeportswasofnecessityof

  quiteadifferentcharacter。Thereportonthecommercialrelations

  betweenFranceandEnglandwaswrittenexclusivelyfortheFrench;

  tothemitwasnecessarytorepresentthatColberthadaccomplished

  nothingsatisfactorythroughhisprotectiveregulations;itwas

  necessarytomakepeoplebelievethattheEdenTreatywas

  beneficialtoFrance,andthatNapoleon\'sContinentalsystem,as

  wellasthethenexistingFrenchprohibitivesystem,hadbeen

  extremelyinjurioustoher。Inshort,inthiscaseitwasnecessary

  tostickcloselytothetheoryofAdamSmith;andthegoodresults

  oftheprotectivesystemmustbecompletelyandunequivocally

  denied。Thetaskwasnotquitesosimplewiththeotherreport,for

  inthis,onehadtoaddresstheEnglishland-ownersandtheGerman

  Governmentsatoneandthesametime。Totheformeritwas

  necessarytosay:See,thereisanationwhichhasalreadyin

  consequenceofprotectiveregulationsmadeenormousadvancesinher

  industry,andwhich,inpossessionofallnecessarymeansfordoing

  so,ismakingrapidstepstomonopoliseherownhomemarketandto

  competewithEnglandinforeignmarkets。This,youToriesinthe

  HouseofLords——this,youcountrysquiresintheHouseof

  Commons,isyourwickeddoing。Thishasbeenbroughtaboutbyyour

  unwisecornlaws;forbythemthepricesofprovisionsandraw

  materialsandthewagesoflabourhavebeenkeptlowinGermany。By

  themtheGermanmanufactorieshavebeenplacedinanadvantageous

  positioncomparedtotheEnglishones。Makehaste,therefore,you

  fools,toabolishthesecornlaws。Bythatmeansyouwilldoubly

  andtreblydamagetheGermanmanufactories:firstly,becausethe

  pricesofprovisionsandrawmaterialsandthewagesoflabourwill

  beraisedinGermanyandloweredinEngland;secondly,becauseby

  theexportofGermangraintoEnglandtheexportofEnglish

  manufacturedgoodstoGermanywillbepromoted;thirdly,because

  theGermanCommercialUnionhasdeclaredthatitisdisposedto

  reducetheirdutiesoncommoncottonandwoollengoodsinthesame

  proportioninwhichEnglandfacilitatestheimportofGermangrain

  andtimber。ThusweBritonscannotfailoncemoretocrushthe

  Germanmanufactories。Butthequestioncannotwait。Everyyearthe

  manufacturinginterestsaregaininggreaterinfluenceintheGerman

  Union;andifyoudelay,thenyourcorn-lawabolitionwillcometoo

  late。Itwillnotbelongbeforethebalancewillturn。Verysoon

  theGermanmanufactorieswillcreatesuchagreatdemandfor

  agriculturalproducethatGermanywillhavenomoresurpluscornto

  selltoforeigncountries。Whatconcessions,then,areyouwilling

  tooffertotheGermanGovernmentstoinducethemtolayhandson

  theirownmanufactoriesinordertohinderthemfromspinning

  cottonforthemselves,andfromencroachinguponyourforeign

  marketsinaddition?

  Allthisthewriterofthereportwascompelledtomakeclear

  tothelandownersinParliament。TheformsoftheBritishState

  administrationpermitnosecretGovernmentreports。DrBowring\'s

  reportmustbepublished,mustthereforebeseenbytheGermansin

  translationsandextracts。Henceonemustusenoexpressionswhich

  mightleadtheGermanstoaperceptionoftheirtrueinterests。

  Thereforetoeverymethodwhichwasadaptedtoinfluence

  Parliament,anantidotemustbeaddedfortheuseoftheGerman

  Governments。Itmustbealleged,thatinconsequenceofthe

  protectivesystemmuchGermancapitalhadbeendivertedinto

  improperchannels。TheagriculturalinterestsofGermanywouldbe

  damagedbytheprotectivesystem。Thatinterestforitspartought

  onlytoturnitsattentiontoforeignmarkets;agriculturewasin

  Germanybyfarthemostimportantproductiveindustry,for

  three-fourthsoftheinhabitantsofGermanywereengagedinit。It

  wasmerenonsensetotalkaboutprotectionfortheproducers;the

  manufacturinginterestitselfcouldonlythriveunderforeign

  competition:publicopinioninGermanydesiredfreedomoftrade。

  IntelligenceinGermanywastoouniversalforadesireforhigh

  dutiestobeentertained。Themostenlightenedmeninthecountry

  wereinfavourofareductionofdutiesoncommonwoollenand

  cottonfabrics,incasetheEnglishdutiesoncornandtimberwere

  reduced。

  Inshort,inthisreporttwoentirelydifferentvoicesspeak,

  whichcontradictoneanotherliketwoopponents。Whichofthetwo

  mustbedeemedthetrueone-thatwhichspeakstotheParliament,or

  thatwhichspeakstotheGermanGovernments?Thereisnodifficulty

  indecidingthispoint,foreverythingwhichDrBowringadducesin

  ordertoinduceParliamenttolowertheimportdutiesongrainand

  timberissupportedbystatisticalfacts,calculations,and

  evidence;whileeverythingthatheadducestodissuadetheGerman

  Governmentsfromtheprotectivesystemisconfinedtomere

  superficialassertions。

  LetusconsiderindetailtheargumentsbywhichDrBowring

  provestotheParliamentthatincaseacheckisnotputtothe

  progressoftheGermanprotectivesysteminthewaywhichhe

  pointedout,theGermanmarketformanufacturedgoodsmustbecome

  irrecoverablylosttoEngland。

  TheGermanpeopleisremarkable,saysDrBowring,for

  temperance,thrift,industry,andintelligence,andenjoysasystem

  ofuniversaleducation。Excellentpolytechnicschoolsdiffuse

  technicalinstructionthroughouttheentirecountry。

  Theartofdesignisespeciallymuchmorecultivatedtherethan

  inEngland。Thegreatannualincreaseofitspopulation,ofits

  headofcattle,andespeciallyofsheep,proveswhatprogress

  agriculturetherehasachieved。Thereportmakesnomentionofthe

  improvementinthevalueofproperty,thoughthatisanimportant

  feature,noroftheincreaseinthevalueofproduce。Thewagesof

  labourhaverisenthirtypercentinthemanufacturingdistricts。

  Thecountrypossessesagreatamountofwaterpower,asyetunused,

  whichisthecheapestofallmotivepowers。Itsminingindustryis

  everywhereflourishing,morethanatanyprevioustime。From1832

  upto1837theimportsofrawcottonhaveincreasedfrom118,000

  centnersto240,000centners;theimportsofcottonyarnfrom

  172,000centnersto322,000centners;theexportsofcottonfabrics

  from26,000centnersto75,000centners;thenumberof

  cotton-weavingloomsinPrussiafrom22,000in1825to32,000in

  1834;theimportsofrawwoolfrom99,000centnersto195,000

  centners;theexportsofthesamefrom100,000centnersto122,000

  centners;theimportsofwoollenarticlesfrom15,000centnersto

  18,000centners;theexportsofthesamefrom49,000centnersto

  69,000centners。

  Themanufactureoflinenclothscontendswithdifficulty

  againstthehighdutiesinEngland,France,andItalyandhasnot

  increased。Ontheotherhand,theimportsoflinenyarnhave

  increasedfrom30,000centnersin1832to86,000centnersin1835,

  chieflythroughtheimportsfromEngland,whicharestill

  increasing。Theconsumptionofindigoincreasedfrom12,000

  centnersin1831to24,000centnersin1837;astrikingproofof

  theprogressofGermanindustry。Theexportsofpotteryhavebeen

  morethandoubledfrom1832to1836。Theimportsofstonewarehave

  diminishedfrom5,000centnersto2,000centners,andtheexports

  ofitincreasedfrom4,000centnersto18,000centners。Theimports

  ofporcelainhavediminishedfrom4,000centnersto1,000centners,

  andtheexportsofithaveincreasedfrom700centnersto4,000

  centners。Theoutputofcoalhasincreasedfrom6,000,000Prussian

  tonsin1832to9,000,000in1836。In1816therewere8,000,000

  sheepinPrussia;andin1837,15,000,000。

  InSaxonyin1831therewere14,000stocking-weavingmachines;

  in2836,20,000。From1831to1837,thenumberofmanufactoriesfor

  spinningwoollenyarnandofspindleshadincreasedinSaxonyto

  morethandoubletheirpreviousnumber。Everywheremachine

  manufactorieshadarisen,andmanyofthesewereinthemost

  flourishingcondition。

  Inshort,inallbranchesofindustry,inproportionasthey

  havebeenprotected,Germanyhasmadeenormousadvances,especially

  inwoollenandcottongoodsforcommonuse,theimportationof

  whichfromEnglandhadentirelyceased。AtthesametimeDrBowring

  admits,inconsequenceofatrustworthyopinionwhichhadbeen

  expressedtohim,\'thatthepriceofthePrussianstuffswas

  decidedlylowerthanthatoftheEnglish;thatcertainlyinrespect

  ofsomeofthecolourstheywereinferiortothebestEnglish

  tints,butthatotherswereperfectandcouldnotbesurpassed;

  thatinspinning,weaving,andallpreparatoryprocesses,the

  GermangoodswerefullyequaltotheBritish,butonlyinthe

  finishadistinctinferioritymightbeobserved,butthatthewant

  ofthiswoulddisappearafteralittletime。\'

  Itisveryeasytounderstandhowbymeansofsuch

  representationsasthesetheEnglishParliamentmayatlengthbe

  inducedtoabandonitscornlaws,whichhavehithertooperatedas

  aprotectivesystemtoGermany。Butitappearstousutterly

  incomprehensiblehowtheGermanUnion,whichhasmadesuchenormous

  advancesinconsequenceoftheprotectivesystem,shouldbeinduced

  bythisreporttodepartfromasystemwhichhasyieldedthemsuch

  excellentresults。

  ItisverywellforDrBowringtoassureusthatthehome

  industryofGermanyisbeingprotectedattheexpenseofthe

  agriculturists。Buthowcanweattachanycredencetohis

  assurance,whenwesee,onthecontrary,thatthedemandfor

  agriculturalproduce,pricesofproduce,thewagesoflabour,the

  rents,thevalueofproperty,haveeverywhereconsiderablyrisen,

  withouttheagriculturisthavingtopaymorethanhedidbeforefor

  themanufacturedgoodswhichherequires?

  ItisverywellforDrBowringtogiveusanestimateshowing

  thatinGermanythreepersonsareengagedinagriculturetoevery

  oneinmanufactures,butthatstatementconvincesusthatthe

  numberofGermansengagedinmanufacturingisnotyetinproper

  proportiontothenumberofGermanagriculturists。Andwecannot

  seebywhatothermeansthisdisproportioncanbeequalised,than

  byincreasingtheprotectiononthosebranchesofmanufacturewhich

  arestillcarriedoninEnglandforthesupplyoftheGermanmarket

  bypersonswhoconsumeEnglishinsteadofGermanagricultural

  produce。ItisallverywellforDrBowringtoassertthatGerman

  agriculturemustonlydirectitsattentiontoforeigncountriesif

  itdesirestoincreaseitssaleofproduce;butthatagreatdemand

  foragriculturalproducecanonlybeattainedbyaflourishinghome

  manufacturingpoweristaughtusnotalonebytheexperienceof

  England,butDrBowringhimselfimplicitlyadmitsthis,bythe

  apprehensionwhichheexpressesinhisreport,thatifEngland

  delaysforsometimetoabolishhercornlaws,Germanywillthen

  havenosurplusofeithercornortimbertoselltoforeign

  countries。

  DrBowringiscertainlyrightwhenheassertsthatthe

  agriculturalinterestinGermanyisstillthepredominantone,but

  justfortheveryreasonthatitispredominantitmustaswehave

  showninformerchapters,bypromotingthemanufacturing

  interests,seektoplaceitselfinajustproportionwiththem,

  becausetheprosperityofagriculturedependsonitsbeinginequal

  proportionwiththemanufacturinginterest,butnotonitsown

  preponderanceoverit。

  Further,theauthorofthereportappearstobeutterlysteeped

  inerrorwhenhemaintainsthatforeigncompetitioninGerman

  marketsisnecessaryfortheGermanmanufacturinginterestitself,

  becausetheGermanmanufacturers,assoonastheyareinaposition

  tosupplytheGermanmarkets,mustcompetewiththemanufacturers

  ofothercountriesforthedisposaloftheirsurplusproduce,which

  competitiontheycanonlysustainbymeansofcheapproduction。But

  cheapproductionwillnotconsistwiththeexistenceofthe

  protectivesystem,inasmuchastheobjectofthatsystemisto

  securehigherpricestothemanufacturers。

  Thisargumentcontainsasmanyerrorsandfalsehoodsaswords。

  DrBowringcannotdenythatthemanufacturercanofferhisproducts

  atcheaperprices,themoreheisenabledtomanufacture——that,

  therefore,amanufacturingPowerwhichexclusivelypossessesits

  homemarketcanworksomuchthecheaperforforeigntrade。The

  proofofthishecanfindinthesametableswhichhehaspublished

  ontheadvancesmadebyGermanindustry;forinthesameproportion

  inwhichtheGermanmanufactorieshaveacquiredpossessionoftheir

  ownhomemarket,theirexportofmanufacturedgoodshasalso

  increased。ThustherecentexperienceofGermany,liketheancient

  experienceofEngland,showsusthathighpricesofmanufactured

  goodsarebynomeansanecessaryconsequenceofprotection。

  Finally,Germanindustryisstillveryfarfromentirely

  supplyingherhomemarket。Inordertodothat,shemustfirst

  manufactureforherselfthe13,000centnersofcottonfabrics,the

  18,000centnersofwoollenfabrics,the500,000centnersofcotton

  yarn,thread,andlinenyarn,whichatpresentareimportedfrom

  England。If,however,sheaccomplishesthat,shewillthenimport

  500,000centnersmorerawcottonthanbefore,bywhichshewill

  carryonsomuchthemoredirectexchangetradewithtropical

  countries,andbeabletopayforthegreaterpartifnotthewhole

  ofthatrequirementwithherownmanufacturedgoods。

  Wemustcorrecttheviewoftheauthorofthereport,that

  publicopinioninGermanyisinfavouroffreetrade,bystating

  thatsincetheestablishmentoftheCommercialUnionpeoplehave

  acquiredaclearerperceptionofwhatitisthatEnglandusually

  understandsbytheterm\'freetrade,\'for,ashehimselfsays,

  \'SincethatperiodthesentimentsoftheGermanpeoplehavebeen

  divertedfromtheregionofhopeandoffantasytothatoftheir

  actualandmaterialinterests。\'Theauthorofthereportisquite

  rightwhenhesaysthatintelligenceisverygreatlydiffused

  amongsttheGermanpeople,butforthatveryreasonpeoplein

  Germanyhaveceasedtoindulgeincosmopoliticaldreams。People

  herenowthinkforthemselves——theytrusttheirownconclusions,

  theirownexperience,theirownsoundcommonsense,morethan

  one-sidedsystemswhichareopposedtoallexperience。Theybegin

  tocomprehendwhyitwasthatBurkedeclaredinconfidencetoAdam

  Smith\'thatanationmustnotbegovernedaccordingto

  cosmopoliticalsystems,butaccordingtoknowledgeoftheirspecial

  nationalinterestsacquiredbydeepresearch。\'PeopleinGermany

  distrustcounsellorswhoblowbothcoldandhotoutofthesame

  mouth。Peopleknowalsohowtoestimateattheirpropervaluethe

  interestsandtheadviceofthosewhoareourindustrial

  competitors。Finally,peopleinGermanybearinmindasoftenas

  Englishoffersareunderdiscussionthewell-knownproverbofthe

  presentsofferedbytheDanaidae。

  FortheseveryreasonswemaydoubtthatinfluentialGerman

  statesmenhaveseriouslygivengroundsforhopetotheauthorof

  thereport,thatGermanyiswillingtoabandonherprotective

  policyforthebenefitofEngland,inexchangeforthepitiful

  concessionofpermissiontoexporttoEnglandalittlegrainand

  timber。AtanyratepublicopinioninGermanywouldgreatly

  hesitatetoconsidersuchstatesmentobethoughtfulones。Inorder

  tomeritthattitleinGermanyinthepresentday,itisnotenough

  thatamanshouldhavethoroughlylearnedsuperficialphrasesand

  argumentsofthecosmopoliticalschool。Peoplerequirethata

  statesmanshouldbewellacquaintedwiththepowersandthe

  requirementsofthenation,and,withouttroublinghimselfwith

  scholasticsystems,shoulddeveloptheformerandsatisfythe

  latter。Butthatmanwouldbetrayanunfathomableignoranceof

  thosepowersandwants,whodidnotknowwhatenormousexertions

  arerequisitetoraiseanationalindustrytothatstagetowhich

  theGermanindustryhasalreadyattained;whocannotinspirit

  foreseethegreatnessofitsfuture;whocouldsogrievously

  disappointtheconfidencewhichtheGermanindustrialclasseshave

  reposedintheirGovernments,andsodeeplywoundthespiritof

  enterpriseinthenation;whowasincapableofdistinguishing

  betweentheloftypositionwhichisoccupiedbyamanufacturing

  nationofthefirstrank,andtheinferiorpositionofacountry

  whichmerelyexportscornandtimber;whoisnotintelligentenough

  toestimatehowprecariousaforeignmarketforgrainandtimberis

  eveninordinarytimes,howeasilyconcessionsofthiskindcanbe

  againrevoked,andwhatconvulsionsareinvolvedinaninterruption

  ofsuchatrade,occasionedbywarsorhostilecommercial

  regulations;who,finally,hasnotlearnedfromtheexampleof

  othergreatstateshowgreatlytheexistence,theindependence,and

  thepowerofthenationdependsonitspossessionofa

  manufacturingpowerofitsown,developedinallitsbranches。

  Trulyonemustgreatlyunder-estimatethespiritofnationality

  andofunitywhichhasariseninGermanysince1830,ifone

  believed,astheauthorofthereportdoesp。26,thatthepolicy

  oftheCommercialUnionwillfollowtheseparateinterestsof

  Prussia,becausetwo-thirdsofthepopulationoftheUnionare

  Prussian。ButPrussia\'sinterestsdemandtheexportofgrainand

  timbertoEngland;theamountofhercapitaldevotedto

  manufacturesisunimportant;Prussiawillthereforeopposeevery

  systemwhichimpedestheimportofforeignmanufactures,andall

  theheadsofdepartmentsinPrussiaareofthatopinion。

  Neverthelesstheauthorofthereportsaysatthebeginningofhis

  report:\'TheGermanCustomsUnionisanincarnationoftheideaof

  nationalunitywhichwidelypervadesthiscountry。IfthisUnionis

  wellled,itmustbringaboutthefusionofallGermaninterestsin

  onecommonleague。Theexperienceofitsbenefitshasmadeit

  popular。Itisthefirststeptowardsthenationalisationofthe

  Germanpeople。Bymeansofthecommoninterestincommercial

  questions,ithaspavedthewayforpoliticalnationality,andin

  placeofnarrow-mindedviews,prejudices,andcustoms,ithaslaid

  downabroaderandstrongerelementofGermannationalexistence。\'

  Now,howdoestheopinionagreewiththeseperfectlytrueprefatory

  observations,thatPrussiawillsacrificetheindependenceandthe

  futuregreatnessofthenationtoanarrowregardtoherown

  supposedbutinanycaseonlymomentaryprivateinterest——that

  PrussiawillnotcomprehendthatGermanymusteitherriseorfall

  withhernationalcommercialpolicy,asPrussiaherselfmustrise

  orfallwithGermany?HowdoestheassertionthatthePrussian

  headsofdepartmentsareopposedtotheprotectivesystem,agree

  withthefactthatthehighdutiesonordinarywoollenandcotton

  fabricsemanatedfromPrussiaherself?Andmustwenotbecompelled

  toconjecturefromthesecontradictions,andfromthefactthatthe

  authorofthereportpaintsinsuchglowingcoloursthecondition

  andtheprogressoftheindustryofSaxony,thathehimselfis

  desirousofexcitingtheprivatejealousyofPrussia?

  Bethatasitmay,itisverystrangethatDrBowringattaches

  suchgreatimportancetotheprivatestatementsofheadsof

  departments,heanEnglishauthorwhooughttobewellawareofthe

  powerofpublicopinion——whooughttoknowthatinourdaysthe

  privateviewsofheadsofdepartmentseveninunconstitutional

  statescountforverylittleiftheyareopposedtopublicopinion,

  andespeciallytothematerialinterestsofthewholenation,and

  iftheyfavourretrogradestepswhichendangerthewhole

  nationality。Theauthorofthereportalsofeelsthiswellenough

  himself,whenhestatesatpage98thatthePrussianGovernmenthas

  sufficientlyexperienced,astheEnglishGovernmenthasdonein

  connectionwiththeabolitionoftheEnglishcornlaws,thatthe

  viewsofpublicofficialscannoteverywherebecarriedintoeffect,

  thathenceitmightbenecessarytoconsiderwhetherGermangrain

  andtimbershouldnotbeadmittedtotheEnglishmarketseven

  withoutpreviousconcessionsonthepartoftheGermanUnion,

  becausebythatverymeansthewaymightbepavedfortheadmission

  oftheEnglishmanufacturedgoodsintotheGermanmarket。Thisview

  isinanycaseacorrectone。DrBowringseesclearlythatthe

  Germanindustrywouldneverhavebeenstrengthenedbutforthose

  laws;thatconsequentlytheabolitionofthecornlawswouldnot

  onlycheckthefurtheradvancesofGermanindustry,butmustcause

  itagaintoretrogradegreatly,providedalwaysthatinthatcase

  theGermancustomslegislationremainsunchanged。Itisonlyapity

  thattheBritishdidnotperceivethesoundnessofthisargument

  twentyyearsago;butnow,afterthatthelegislationofEngland

  hasitselfundertakenthedivorceofGermanagriculturefrom

  Englishmanufactures,afterthatGermanyhaspursuedthepathof

  perfectingherindustryfortwentyyears,andhasmadeenormous

  sacrificesforthisobject,itwouldbetokenpoliticalblindnessif

  Germanywerenow,owingtotheabolitionoftheEnglishcornlaws,

  toabstaininanydegreefrompursuinghergreatnationalcareer。

  Indeed,wearefirmlyconvincedthatinsuchacaseitwouldbe

  necessaryforGermanytoincreaseherprotectivedutiesinthesame

  proportioninwhichtheEnglishmanufactorieswouldderive

  advantagefromtheabolitionofthecornlawsascomparedwith

  thoseofGermany。Germanycanforalongtimefollownoother

  policyinrespecttoEnglandthanthatofalessadvanced

  manufacturingnationwhichisstrivingwithallherpowertoraise

  herselftoanequalpositionwiththemostadvancedmanufacturing

  nation。Everyotherpolicyormeasurethanthat,involvesthe

  imperillingoftheGermannationality。IftheEnglishareinwant

  offoreigncornortimber,thentheymaygetitinGermanyorwhere

  elsetheyplease。Germanywillnotonthataccountanytheless

  protecttheadvancesinindustrywhichshehasmadeuptothis

  time,orstriveanythelesstomakefutureadvances。Ifthe

  BritishwillhavenothingtodowithGermangrainandtimber,so

  muchthebetter。Inthatcasetheindustry,thenavigation,the

  foreigntradeofGermanywillraisetheirheadssomuchthe

  quicker,theGermaninternalmeansoftransportwillbesomuchthe

  soonercompleted,theGermannationalitywillsomuchthemore

  certainlyrestonitsnaturalfoundation。PerhapsPrussiamaynot

  inthiswaysosoonbeabletosellthecornandtimberofher

  BalticprovincesathighpricesasiftheEnglishmarketswere

  suddenlyopenedtoher。Butthroughthecompletionoftheinternal

  meansoftransport,andthroughtheinternaldemandfor

  agriculturalproducecreatedbythemanufactories,thesalesof

  thoseprovincestotheinteriorofGermanywillincreasefast

  enough,andeverybenefittotheseprovinceswhichisfoundedon

  thehomedemandforagriculturalproducewillbegainedbythemfor

  allfuturetime。Theywillnevermorehavetooscillateas

  heretoforebetweencalamityandprosperityfromonedecadeto

  another。Butfurther,asapoliticalpowerPrussiawillgaina

  hundred-foldmoreinconcentratedstrengthintheinteriorof

  Germanybythispolicythanthematerialvalueswhichshe

  sacrificesforthemomentinhermaritimeprovinces,orrather

  investsforrepaymentinthefuture。

  TheobjectoftheEnglishministryinthisreportisclearlyto

  obtaintheadmissionintoGermanyofordinaryEnglishwoollenand

  cottonfabrics,partlythroughtheabolitionoratleast

  modificationofchargingdutiesbyweight,partlythroughthe

  loweringofthetariff,andpartlybytheadmissionoftheGerman

  grainandtimberintotheEnglishmarket。Bythesemeansthefirst

  breachcanbemadeintheGermanprotectivesystem。Thesearticles

  ofordinaryuseaswehavealreadyshowninaformerchapterare

  byfarthemostimportant,theyarethefundamentalelementofthe

  nationalindustry。Dutiesoftenpercentadvalorem,whichare

  clearlyaimedatbyEngland,would,withtheassistanceofthe

  usualtricksofunderdeclarationofvalue,sacrificethegreater

  partoftheGermanindustrytoEnglishcompetition,especiallyif

  inconsequenceofcommercialcrisestheEnglishmanufacturerswere

  sometimesinducedtothrowonthemarkettheirstocksofgoodsat

  anyprice。Itisthereforenoexaggerationifwemaintainthatthe

  tendencyoftheEnglishproposalsaimsatnothinglessthanthe

  overthrowoftheentireGermanprotectivesystem,inorderto

  reduceGermanytothepositionofanEnglishagriculturalcolony。

  Withthisobjectinviewitisimpressedon。thenoticeofPrussia

  howgreatlyheragriculturemightgainbythereductionofthe

  Englishcornandtimberduties,andhowunimportanther

  manufacturinginterestis。Withthesameview,theprospectis

  offeredtoPrussiaofareductionofthedutiesonbrandy。Andin

  orderthattheotherstatesmaynotgoquiteemptyawayafiveper

  centreductionofthedutiesonN黵embergwares,children\'stoys,

  eaudeCologne,andothertrifles,ispromised。Thatgives

  satisfactiontothesmallGermanstates,andalsodoesnotcost

  much。

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